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afterdawn.com > news > youtube, universal to launch 'vevo' music video site
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YouTube, Universal to launch 'Vevo' music video site

9 April 2009 16:55 by James "Dela" Delahunty

YouTube, Universal to launch 'Vevo' music video site Vivendi's Universal Music Group and Google Inc.'s YouTube have reached a deal to create a new premium music video service. The service, which is expected to launch in the coming months, is a bid to boost revenues from YouTube's phenomenal global usage. YouTube also gained an extension on the rights to feature content from Universal's catalog including U2 and 50 Cent, within YouTube videos.

The new service will be called Vevo, and it will offer higher quality music videos, as opposed to the typically lower quality content uploaded by users. The premium service, exclusive to Universal content, may also attract more big name advertisers who have been reluctant to advertise alongside user-generated content.

A boost in advertising rates will boost revenues for the content, which will be shared among Universal and YouTube.

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